Pacwest Corporate Report

INFLUENCING DECISIONS

CREATING WINNING RESULTS

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ABOUT PAC/WEST Pac/West is an award-winning communications firm that develops comprehensive solutions to the political and public relations challenges our clients face. Paul and Nancy Phillips founded Pac/West in 1997, following Paul’s 14-year tenure in the Oregon Legislature. Today Pac/West is one of the most successful political public affairs firms in the Western United States.

Whether you are looking for support on a specific issue or a long-term strategy, we can help. Our firm has managed projects and campaigns across the country. Our clients include Fortune 500 companies, associations, government entities, nonprofits, universities, small businesses and individuals.

Our bipartisan team has unmatched experience, including victories on issues related to economic development, health care, construction and labor, natural resource management, agriculture, land use, transportation, tax policy and more.

Pac/West leverages the skills and passions of our people to benefit our clients. The experience, relationships and policy knowledge we offer are second to none.

Paul Phillips, President Pac/West Communications

CONTENTS Approach Services Focus Areas Corporate Tax Policy Organized Labor Labor/Management Health Care Energy & Natural Resources 2

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OUR APPROACH We begin by working closely with our clients to define key issues, concerns and opportunities.

Leveraging a tactical, research-based approach that includes polling and message testing, we identify target audiences and potential partners and carefully hone our message. Next, we utilize this research to create a strategic plan and outline an overarching timeframe.

Our Pac/West team turns the plan into action. We set both long-term objectives and short-term benchmarks, while keeping our clients informed and engaged with regular updates.

Armed with new information and responding to changing conditions, we adjust our strategy accordingly.

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SERVICES GOVERNMENT AFFAIRS Advocates for certainty

Federal The Pac/West team draws on long-term experience to liaison with congressional delegation members and administration officials. We provide important context and perspectives to ensure our clients’ issues are addressed at the federal level.

• Coalition Building • Grassroots Campaigning State Our government affairs team will be your eyes, ears and voice throughout the political process.

We utilize relationships that cut across party lines to help you navigate the complexities of state politics. From engaging in work groups to participating in regulatory processes to helping lawmakers draft future legislation, our work is never done.

• Drafting, Advocating and Delivering Legislation • Committee Hearing Monitoring and Reporting • Political Action Committee Formation Local The maze of local policies, procedures and permits can be cumbersome. We have the experience to cut through the red tape. Our working knowledge of local jurisdictions and relationships with key public officials ensure that our clients are successful.

• Legislative Representation • Regulatory and Permitting

STRATEGIC COMMUNICATIONS

Protecting and building your most valuable asset—your image Bolstering your reputation in the marketplace, among decision makers and the general public can play a key role in propelling your business forward and enabling you to navigate through difficult issues. Our seasoned staff has decades of experience in strategic communications, offering everything from branding and market analysis to media relations and crisis management. Pac/West knows how to cultivate favorable opinion through an array of communication tools. We use in-depth research to create successful strategies that achieve results.

• Research and Market Analysis • Branding and Positioning • Media Relations • Public Outreach • Crisis Management

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ASSOCIATION MANAGEMENT

Effective management and promotion to grow your organization The challenges of association management in today’s ever changing world are demanding.

Organizations—both private and public—face increased pressures to operate more effectively, efficiently and profitably. Pac/West can proactively drive your organization, regardless of its size or structure, by taking advantage of the latest technologies and trends. Our team offers expertise covering the full spectrum of association management services.

• Administrative and Financial Management • Strategic Planning • Special Projects • Event Planning • Multi-Platform Communications

DIGITAL MEDIA

Rewriting the narrative to achieve success The days of lobbyists making deals with politicians in smoke-filled rooms are over. Social media has helped shift political power from the back room to the public arena. Today, you cannot influence decisions without also engaging a grassroots audience. Our highly-trained team utilizes a tactical, research-based approach to maximize your return on investment, using key performance indicators—such as conversions, customers and cost—to measure and refine your digital communications strategy.

• Account Development and Management • Data-Driven Marketing Strategies • Location-Based Geo-Fencing • E-mail Campaign Management

WEB DEVELOPMENT

Delivering success online and off Websites are the electronic business cards of the new millennium. Pac/West enables clients to establish their digital footprint by creating user-friendly sites. We devise aggressive data-driven campaigns that help our clients build trust and share information. From search engine optimization to mobile-ready websites, our digital team utilizes the latest in online technology to deliver your message effectively on every platform.

• Full-Scale Website Development • Mobile-Ready Sites • Multiple Hosting Options • Search Engine Optimization

CREATIVE SERVICES

Crafting your image through compelling design Standing out in a commercially cluttered world can be a challenge. Getting noticed is about employing visuals that have unique appeal. Consider the Pac/West creative team your stylists.

From the start, we work with you to identify your brand personality and make it come to life.

Whether you are a business, a non-profit or a political candidate, we can deliver the strong foundation of visual assets essential to success.

• Branding and Brand Management • Logo Development • Graphic Design • Video Production

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CORPORATE TAX POLICY

In 1999, several of Oregon’s largest corporations—including Intel, Nike, Columbia Sportswear and Precision Castparts—recognized a need for a dramatic shift in Oregon’s corporate tax policy. The Smart Growth Coalition was formed to secure more favorable policies. It turned to Pac/West for leadership.

Our team educated legislators across the political spectrum and, by 2003, garnered bipartisan support to pass legislation establishing the single sales factor for Oregon. This new corporate tax policy spurred an unprecedented period of growth in Oregon’s manufacturing sector. Corporations added high-wage jobs and made significant investments in research and development. As a result, Oregon cemented its reputation as the “Silicon Forest.”

Our work for the Smart Growth Coalition has expanded to include the creation of a Qualified Research Activities Tax Credit in Oregon, the establishment of the Rainy Day Fund and the approval of a corporate minimum tax.

THE SMART GROWTH COALITION “Intel’s collaboration with Pac/West has been a great investment. Not only did Pac/West have the foresight to see an opportunity to form a coalition that has created value for all of its members, but they had what it takes to identify a shared agenda and go get it done.”

- Jill Eiland, Intel

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We partnered with several blue-chip corporations to form the Smart Growth Coalition. Together, we promoted business-friendly tax policies and advanced Oregon’s position as a pro-growth state.

Current and former Smart Growth Coalition members include: Nike, Intel, Genentech, Schnitzer Steel, Precision Castparts, Columbia Sportswear, Tektronix, adidas, The Greenbrier Companies, Lithia Motors, Electro Scientific Industries and ESCO

Before Pac/West Involvement

We helped establish a Rainy Day Fund with bipartisan support. This fund sustains government during an economic downturn, thus protecting businesses from unpredictable and volatile changes to the tax structure.

Corporations were not only taxed on sales, but on payroll and property as well. This impeded businesses from adding high-wage jobs, investing in assets and reinvesting in more advanced operations.

After Pac/West Involvement in the Research & Development Tax Credit

After Pac/West

$2,000,000

$500,000

Before Pac/West

The single sales factor has allowed businesses to reinvest in themselves, adding jobs and increasing their competitiveness in the market.

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ORGANIZED LABOR

Pac/West has served the Oregon Building Trades Council (OBTC) for more than 20 years— protecting its brand identity and raising brand awareness, promoting favorable policies and working to defeat policies that would be harmful to its members.

The longevity of this client relationship is no accident. Pac/West has consistently delivered for OBTC: by setting long-term goals with short-term benchmarks for success, by quickly adapting to a changing landscape and by employing new technology.

When anti-growth groups launched an online attack to stymie large development projects, Pac/West led the charge for OBTC. Our team quickly mobilized, developing an aggressive digital media plan. One year later, the Oregon Building Trades Council has built an online following larger than any other state council in the United States.

THE OREGON BUILDING TRADES COUNCIL (OBTC)

“Pac/West has been there for the Oregon Building Trades Council every step of the way. They have helped us pass historic legislation, defeat attacks on organized labor, and taken us to a new and unprecedented level of success with digital communications.”

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- John Mohlis, OBTC

2014 marked two decades of service from Pac/West to the same client.

While the Oregon Building Trades Council is our longest standing client, Pac/West has represented several clients for more than 10 years, through several organizational changes and points of contact. We believe these longstanding partnerships are a testament to our ability to provide clients with a return on their investment.

Tour with U.S. representative

Meeting with governor

Rally at Oregon State Capitol es.com

oregonbuildingtrad

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Facebook Likes 1. Pac/West organized a tour of the Ironworkers Apprenticeship Training Center in Portland to show U.S. Representative Greg Walden, a top ranking Republican from Oregon, how they instruct the most highly-skilled construction workforce in the world. 2. Pac/West organizes quarterly strategy meetings on behalf of OBTC with Oregon Governor John Kitzhaber. 3. Pac/West organized a jobs rally on behalf of OBTC. Hundreds of workers turned out on the

steps of the Oregon State Capitol to spotlight OBTC’s policy agenda. 4. When signs were banned from the Oregon State Legislature, Pac/West devised a clever solution for OBTC— oversized stickers that jobs advocates can proudly wear.

5. OBTC has an online following that is much larger and more engaged than any state chapter, making them a leader in digital advocacy and communications.

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LABOR/ MANAGEMENT

Pac/West understands that in order to sustain a healthy economy and achieve top-notch results in the labor and construction industry, we need to support organizations and apprenticeship programs that teach and employ the most skilled and productive workers in their industry.

Our work in brand development, advertising, collateral production, electronic communications, social media, event planning and advocacy can help position your company or organization as a leader of sustainable energy and economic development.

NECA/IBEW LOCAL 48 Contractors from the National Electrical Contractors Association Oregon-Columbia Chapter and union electricians from the International Brotherhood of Electrical Workers Local 48 (NECA/IBEW Local 48) have worked together for decades as part of a labor-management committee trust formed under the Taft-Hartley Act. Pac/West has provided public relations and marketing services to this unique partnership since 1999. Throughout our longstanding relationship, we have helped establish a strong brand and expanded market share for the partnership.

NECA and IBEW Local 48 celebrated their 100-year anniversaries in 2013 and we worked hard to showcase this impressive milestone. We designed a new logo that showed strength and durability, released a video series and documentary to promote the historic and ongoing actions of NECA/IBEW Local 48, organized an exhibit for display at the Oregon Historical Society and published a book documenting the rich history.

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Through our focused and dedicated work, we have built a customer base for NECA/IBEW Local 48 that has expanded market share and positioned its members as leaders in energy policy and innovation among elected officials, opinion leaders and the public at large.

Old Logo

Video Series

Anniversary Logo

New Logo

Oregon Historic Society Exhibit

“An Uncommonly Harmonious Relationship”

“Diversity in the Workplace”

“Solar Highway Bladock Rest Area”

1. The partnership logo has seen an evolution throughout the years. Pac/West created a new logo to commemorate the 100-year anniversary, and another to streamline and simplify the look. 2. A series of videos emphasizing NECA/IBEW’s work through history, green energy, diversity and innovation brought attention to the partnership’s groundbreaking work. 3. To celebrate “100 Years of a Powerful Partnership”, NECA/IBEW, Pac/West and subcontractors created an exhibit for the Oregon Historic

Society that was featured for several months in 2013.

4. In 2014 Pac/West revitalized the brand and advertising campaign for the partnership by conducting photo shoots, crafting messages and designing artwork. 5. We created www.nwelectricians.com, a unique Web-based tool that uses online mapping technology to locate electrical contractors near a customer’s location.

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HEALTH CARE

Pac/West provides legislative, public affairs, marketing and digital expertise to our health care clients. We value the role of health care providers and excel at promoting their interests among the vast network of labs, treatment centers, hospitals, patients and other players in the industry.

Pac/West is a leading force for creating sensible health policies in this increasingly politicized industry. Pac/West president and co-owner Paul Phillips worked closely with Oregon Governor John Kitzhaber (then Senate President) on the creation of the Oregon Health Plan, the state’s Medicaid program. Pac/West has since played a pivotal role in the implementation of health care transformation policies in the state.

THE COALITION FOR A HEALTHY OREGON In 2011, the Oregon Health Plan was at a crossroads. Privately-owned Managed Care Organizations (MCOs), which managed health care services for the Oregon Health Plan (OHP), faced a major challenge: Oregon policy makers were contemplating a shift toward a state-controlled, single payer system that would jeopardize their operations.

The Coalition for a Healthy Oregon (COHO), with consultation from Pac/West, spearheaded a viable alternative to state-controlled health care. A new system was forged, transforming MCOs into Coordinated Care Organizations (CCOs), allowing them greater flexibility and control in coordinating all physical, mental and dental health care.

The Pac/West team played an integral part in the Oregon Medicaid transformation, which has widely been acknowledged as a blueprint for other states. As a result of Pac/West’s involvement, COHO members are flourishing and have seen an increase in their client base and revenues by more than 50 percent.

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Our work for COHO demonstrates how we navigate a dynamic political arena and achieve policy goals by working with both sides of the aisle. Pac/West will continue to promote COHO as a trusted source for health care information across the state.

Simplifying Health Care Reform

Pac/West created informational handouts to explain health care reform in simple terms to lawmakers, medical professionals and the public.

6,397

Facebook Likes Six months into our targeted social media campaign, we achieved widespread exposure in a limited market. We continue to build support for COHO to ensure a favorable political climate by telling the success stories of member organizations directly to stakeholders.

“The integrated services that Pac/West offers have helped us establish a clear brand and define who we are and our value in the marketplace. They are not simply a lobby or marketing firm—they are the whole package.”

— Jan Buffa, CEO, WVP Health Authority COHO MEMBER

Our video series helped share the groundbreaking efforts of COHO member organizations with lawmakers, government regulators, the media and health care providers. Shown here are stills of a video highlighting WVP Health Authority’s “MOMS Program.” The MOMS program is a comprehensive case management plan targeting pregnant women at risk of substance abuse in Marion, Polk and Yamhill counties. The primary goal is the delivery of clean and sober babies.

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ENERGY & NATURAL RESOURCES Pac/West recognizes the importance of science-based resource management, including domestic energy production, and we are proud to work on behalf of leading corporations and associations in the energy and natural resource industries.

From solar power to fracking, and spotted owls to predator control, Pac/West has the expertise to help you achieve success. Whether you are seeking to pass new legislation, defeat a ballot measure, execute a large-scale public relations campaign or promote your position to a targeted audience, our team has the experience to deliver a favorable outcome.

One example of our success in the energy and natural resources arena is our award-winning work for Anadarko Petroleum Corporation and Noble Energy Inc.

Coloradans For Responsible Energy Development In recent years, Colorado has become ground zero for the debate over domestic energy production—in particular, hydraulic fracturing, or fracking. To push back against misinformation and shift public opinion in favor of energy development, Anadarko Petroleum Corporation and Noble Energy Inc. hired Pac/West to lead a statewide education campaign in concert with a political advocacy campaign.

Coloradans for Responsible Energy Development (CRED) was formed in September 2013 to directly engage the public and respond to industry challenges in an aggressive yet strategic manner. CRED is driven by research, including public opinion analysis, message testing and analytics.

Million Voters 14

We researched Coloradans to determine our target audiences and the best strategies to persuade them to our side of the issue.

CRED is an educational effort that informs Coloradans about the economic, social and environmental benefits of safe and responsible energy development.

StudyFracking.com CRED.org

Coloradans for Responsible Energy Development PO Box 13015 Denver, CO 80201

PRSRT STD U.S. POSTAGE PAID DENVER, CO PERMIT NO. 4033 1B

Business Leaders And Environmentalists Agree Fracking For Natural Gas Is Key To Colorado’s Future.

on Green Unusual Allies

What do state officials, businessmen, and environmentalists have in common?

Legislation

and How energy companies in Colorado environmentalists ground found common

previous rules achieved And Charles Davidson of methane (some of reducing other • Direct regulation Noble Energy and as a co-benefit methane reduction year, our organizations, with two of the directly until now).

In Colorado late last was never targeted Fund, came together pollutants, but it Anadarko Petroleum (equipment Environmental Defense energy producers, “fugitive” emissions state’s other largest new state air regulations— • Dramatic reductions in leak-detection and Corp., to support the nation’s strongest natural gas emissions Corp. and Encana for monthly leaks) through governing oil and collaboration the strongest rules which includes requirements this rare and effective represents a repair program, allies in the U.S. We believe largest sources. to might call unlikely inspections at the between what some follow when developing regulations to new wells but to that apply not only change. lowmodel for others • Statewide requirements which will be retrofitted with air quality and climate effectively address sources, m local existing to also stakeholders—fro and a wide range of groups and oil emitting equipment.

After input from from other environmental Air Quality Control to target reductions “liquids communities to Colorado • Statewide requirements activities such as Feb. 23 with minimal natural-gas companies—the well-maintenance and the new rules on health, adopted public underregulated and are cleared of water Commission producing wells will protect air quality development. gas. unloading,” when changes. The rules economic energy the flow of natural can message: Americans the while enabling responsible, other liquids inhibiting natural gas rules sends a clear they want, and Adoption of these the state’s oil and economy the requires need, they Colorado already control hydrocarbon have the energy technologies to vent deserve. producers to use phase, rather than environment they the well-completion resource and economica new rules emissions during abundant energy in the U.S. The promise from Natural gas is an as is allowed elsewhere nation that offers the and about emissions gas produces foundation. driver for Colorado When burned, natural fewer conventional build on that important climate perspective. and far Commission deserve dioxide of coal, shale gas the Air Quality Control half the carbon new supplies of of the rules. So The members of with burgeoning has seen a shift integrity and strength the nation in pollutants. And for the credit leadership the resource, enormous for his vision and generation—a transition reducing prices for something gas for electricity does Gov. John Hickenlooper in the U.S. to process that developed from coal to natural carbon-dioxide emissions building a collaborative and its citizens. that has helped reduce 1992. the state since extraordinary for the lowest levels gas can in this process because advantage of natural used to actively participate our economy We signed up to in equipment However, the cleaner-burning venting and leaks to do for our communities, have primarily methane, be undermined by it’s the right thing energy companies it. Natural gas is organic We believe that practices. produce and transport gas, and contains volatile our way of life. leading and adopt one reason minimize risks and ensure a powerful greenhouse This pollution is a responsibility to an obligation to can cause smog. development and the state have compounds that oil and natural to oil and natural-gas Industry, activists produce and transport environmental, industry there has been opposition to Yet in Colorado, that companies develop, possible country. is it the manner. around have demonstrated then put them gas in the most responsible and thinking and state representatives of a new way of agree on strong safeguards rules go effort is evidence work together to those who say the implications This collaborative the opposition of that can have meaningful can-do mindin place, even over and of doing business Colorado enough. future. Call it the too far, or not far in a together to create for America’s energy But keeping methane please everybody. serious about working not just in thing to do. Colorado’s No regulation will set. It shows we’re the environment, of the air is the right nt for business and common-sense the pipe and out healthier climate set forth science-based, state our increasingly energy-independe newly adopted rules measures. They will help the Colorado, but throughout n every year— emissions-reductio of tons of air pollution country.

And curb tens of thousands vehicle in Colorado off the road.

Defense Fund. every of the Environmental equivalent to taking “firsts”: Mr. Krupp is president of Noble Energy. they include several chairman and CEO Mr. Davidson is

By Fred Krupp

The rules will protect air quality and public health, while enabling responsible, economic energy development.

Adoption of these rules sends a clear message: Americans can have the energy they need, the economy they want, and the environment they deserve.

- Environmental Defense Fund President Fred Krupp and Noble Energy CEO Charles Davidson

1. We launched English and Spanish websites—CRED.org and StudyFracking.com—to spread information, advance our policy positions and engage our audiences. The two sites received more than 1 million page views within 13 months. 2. Aggressively leveraging digital platforms, we attained more than 21,987 Facebook likes and 3,205 Twitter followers in 13 months. 3. We created ads tailored to Denver Broncos football fans and used geo-fencing

technology to ensure that every cell phone at the game received the ad. 4. Pac/West sent 600,000 pieces of direct mail with messages tailored to our target audiences. 5. We led a robust earned media campaign to secure coverage in outlets such as the Coloradoan and the National Journal.

6. Pac/West won a 2014 Gold Pollie Award from the American Association of Political Consultants for our work on CRED.

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www.pacwestcom.com Oregon Headquarters 8600 S.W. St. Helens Dr. Wilsonville, OR 97070 (503) 685-9400 California Office 1215 K St., 17th Floor Sacramento, CA 95814 (916) 448-5061 Colorado Office 1775 Sherman St., Ste. 2700 Denver, CO 80203 (720) 259-4625 16